alleryStart learning →Notional Rs 20 million, fixed 4%, floating 3.5%, half-year period. Fixed payer's net?
APays Rs 50,000
BPays Rs 100,000
CReceives Rs 50,000
DPays Rs 25,000
Answer & Solution
Correct answer: A. Pays Rs 50,000
The fixed payer owes 0.5% for half a year: 20,000,000 x 0.005 x 0.5 = 50,000.
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